Impact Silver Corp. · TSXV:IPT
Impact Silver — Investor Presentation (October 2008)
20 slides from Impact Silver's investor presentation, October 2008
Slide 1: Impact Silver Corp. Fall 2008
3 e ae a isl ANS IMPACT SILVER CORP. FALL 2008
Slide 2: Cautionary Disclaimer
CAUTIONARY DISCLAIMER Certain statements in the following presentation regarding IMPACT Silver Corp.’s business operations may constitute forward looking statements”. Such statements are not historical facts, but are predictions about the future, which inherently involve risks and uncertainties, and
Slide 3: Investment Highlights
INVESTMENT HIGHLIGHTS FINANCIALS: Profitable Positive Operating Cash Flow PRODUCTION: Profitable Operating Mines at Royal Mines of Zacualpan Option on a Producing Mill in Zacatecas EXPLORATION: Total land package 472 km2 Upside potential in under-explored 125 km2 silver district at Zacualpan . Over
Slide 4: Project Locations
PROJECT LOCATIONS • The Zacualpan and Mamatla Silver Districts are located in the southern portion of the Mexican Epithermal Vein Belt
Slide 5: Zacualpan Processing Plant
ZACUALPAN PROCESSING PLANT Processing Capacity: 500 tpd Salvadora Mine Guadalupe Mine
Slide 6: Zacualpan Operations
ZACUALPAN OPERATIONS Excellent Modern power grid, tailings facility, Infrastructure water, trained work force, paved highway & good road network – only 3.5 hour drive from Mexico City Facilities Four Operating Mines Producing Silver-Lead and Zinc Concentrates 500 tonnes per day (tpd) processing plan
Slide 7: Production Summary
PRODUCTION SUMMARY Six Months Ended June 30th 2008 2007 Change Silver Production (oz) 252,519 159,497 58% Lead (lbs) 647,000 646,000 0.1% Zinc (lbs) 974,000 1,074,000 (9%) Revenue per tonne $91.91 $73.21 26% CA$ direct cost/tonne $47.24 $46.97 1%
Slide 8: Chivo Mine
CHIVO MINE • Chivo was discovered in late 2005 • Commenced production in January 2008 • Production 215 tpd and growing • Supplemented by high grade production from nearby San Ramon Mine • 2008 Drilling Highlights: Drill Hole Est. TW (m) Ag (g/t) Ag (oz/t) Au (g/t) Zn (% ) Pb (% ) Z08-13 1.9 3,902 11
Slide 9: Guadalupe Mine
GUADALUPE MINE • Located only 100m from the processing plant • Large Veins: Modern production largely on 2-5m wide, 50-400m long ore shoots containing medium grade silver mineralization with substantial lead and zinc credits • Three vein systems have been discovered and placed into production during
Slide 10: Gallega Mine
GALLEGA MINE • Commenced Operations in January 2007, 500m South-East of Mill • Operations are focused on the Lipton and San David Veins • Produces medium grade silver mineralization with significant base metal credits from three veins • Supplements production from Guadalupe mine
Slide 11: The Zacualpan Silver District
THE ZACUALPAN SILVER DISTRICT Total Land Package • 125 km2 472 km2 • 480 year mining history with first production in 1527 • Between 1975- 2007 the District produced 32M silver equivalent ounces • Current old mine NEAR TERM workings identified MEDIUMTERM reached 937, as of July 1 2008
Slide 12: Exploration Process
EXPLORATION PROCESS • Targets are generated by mapping and sampling old mines that typically shut down due to either the water table or sub-kilo Silver grades • 12,000m surface & 5,000m underground drilling budget in 2008 STAGES OF DEVELOPMENT Map Old Surface and Phase 1 & 2 Mine Production Mines an
Slide 13: The Mamatla District
THE MAMATLA DISTRICT • 200 km 2 District • Northeast quadrant hosts gold and silver veins • Southwest quadrant hosts veins and VMS deposits • Numerous drill ready targets
Slide 14: Mamatla
MAMATLA View of Zacualpan in foreground and Mamatla in background District boundary
Slide 15: Mamatla Exploration
MAMATLA EXPLORATION • Valerie Gold and TVX spent over US$10 Million exploring Mamatla in the 1990’s • Drilling has started on advanced targets to develop 43-101 • District covers both Zacualpan type vein systems and VMS type base and precious metal deposits • Highlights of historic drilling: Zone Wi
Slide 16: Zacatecas
ZACATECAS Exploration Production • Completed purchase of 16 mineral • Option to purchase a 200 tpd concessions processing plant and surface rights • Project represents consolidation • It is operating as a toll mill during opportunities in highly fragmented due diligence stage district that produced
Slide 17: Experienced Management Team
EXPERIENCED MANAGEMENT TEAM Frederick W. Davidson, CA President, CEO & Director Held senior management positions with Erickson Gold Mines Ltd. and TOTAL Energold Corp. Took Mt. Skukum Gold Mine from exploration to production. Also President of Energold Drilling Corp. (EGD: TSX-V), a contract driller
Slide 18: Corporate Summary
CORPORATE SUMMARY • Recent Share Price: $.40 • Market Cap: $20 Million • Shares Outstanding: 47.5 Million (52.1 M FD) Six Months Ended June 30th 2008 2007 Change Revenue $4,443,000 $3,536,000 26% Operating Profit* $1,718,000 $873,000 97% Net Income & comprehensive Income $1,151,000 $219,000 426% Cas
Slide 19: Profitability
PROFITABILITY - 8,000 _ 7,000 - 6,000 ~ 6,000 ae | - 4,000 yee - 3,000 <7 + 2,000 ~ 1,000 Year eet a c 3 oO KR Co CDN$ (000’s) Cross Revenues @ Net Income = Operating Cash Flow
Slide 20: Future Plans
FUTURE PLANS • Exploration ongoing at Zacualpan and Mamatla • Ramp up Zacualpan production to 500 tpd • Define 43-101 Resources at Mamatla • Prepare additional mines for production • Exercise option on Zacatecas Processing Plant • Grow through exploration and acquisition • Exploration budget for 200